Shaanxi Heavy Duty Truck: Transformation


When talking about BYD, most Xi'an people may want to shake their heads. However, when they mention Shaanxi Zhongqi, they will all immediately answer: “Yes, this is our company.” Like Xi'an's long history and culture, Shaanxi Sinotruk is in the automotive industry in China. It is also a member of the veteran, in the eyes of the up-and-out people in Xi’an, it is “long-lasting”.

“The automotive industry in Shaanxi Province is relatively weak. The major automotive-related companies are concentrated in Xi’an.” Liu Dapeng, Secretary-General of Xi’an Automobile Engineering Society, said that Shaanxi Shaanxi Automobile is one of the highlights. “All cars in Xi’an in 2007 Of the 160,000 vehicles produced and sold by the company, only Shaanxi Heavy Duty Truck Co., Ltd. accounted for 41%, making Xi'an a true pillar vehicle company.

In accordance with the future development plan of Shaanxi Heavy Duty Truck, a heavy truck will be formed in 2012 to comprehensively develop various types of commercial vehicles, including heavy, medium, light and micro-sized commercial vehicles, forming 120,000 heavy trucks, 380,000 heavy-duty truck axles, and 5,000 vehicles. The scale of production of large and medium-sized buses, 100,000 medium- and medium-sized trucks and special vehicles, and 100,000 light passenger vans has achieved sales revenue of 50 billion yuan and profits and taxes of more than 2 billion yuan.

Under the background of the strategy for the large-scale development of the western region, Xi’an’s atmosphere for industrial restructuring has been relatively strong. It is thanks to Xi’an, the ancient city of the millennium, that Shaanxi Heavy-duty Trucks has completed transformations one after another. It is also this time and time that the transformation has only taken place today in Shaanxi. The rebirth and transformation of heavy truck.

Ding Jun Wu Zhang Yuan

Last year, Shaanxi Heavy Duty Truck gave Xi'an "a meritorious service". In 2007, the total output value of Shaanxi Heavy Industry reached 18.2 billion yuan, an increase of 92.1% over the same period of last year. Production and sales volume maintained an average annual growth rate of more than 50% in the past three years, which is far higher than the average 20% in the heavy truck industry. Growth level. Shaanxi Heavy Duty Trucks has maintained the top domestic sales volume in the heavy-duty truck market of over 15 tons with a market share of 34%. After consecutive years entering the list of China's top 500 companies, it has now targeted the world's top 500 companies.

In the northern suburbs of Xi’an, a modern heavy-duty automobile factory covering an area of ​​about 3,500 mu has risen. Since 2005, it has become the second vehicle factory of Shaanxi Auto, and has become the management center of Shaanxi Automobile as a whole.

However, 40 years ago, Shaanxi Shouqi was still a "gray face" look.

In the 1960s, China under the blockade of "imperialism and anti-imperialism" urgently needed heavy military off-road vehicles. Thus, in 1968, at the foot of Wuzhangyuan in the northern foothills of the Qinling Mountains, in 1700 years ago, the ancient battlefield of the wooden cows and horses was built by Zhuge. After careful selection, the first generation of Shaanqi people from all parts of the country and “red and specialized” began. The first venture. “Shanxi Zhongqi was established because of the needs of national defense. The goal was very clear at that time. It was the production of a 5-ton class off-road vehicle, which changed the state of Chinese artillery without a gun and used it to 'grab' the troops.” Zhang Xingye, an old Shaanxi automaker who is currently building a steam plant, and an honorary chairman of the China Automotive Engineering Society, said.

According to Zhang Lao’s memories, Shaanxi Automobile Co., Ltd. was facing a serious shortage of talents and technology in the early days of its establishment, but Shaanxi Auto did not give up its persistent pursuit. In 1972, the first military SUV was finally successful after three rounds of trial production and was named Yan’an 250 ( SX250). In this way, Shaanxi Auto started in China's heavy truck industry and has been the main force of the National Armament Department Heavy Army Vehicle.

The first change

According to Liu Keqiang, manager of Shaanxi Zhongqi Marketing Department, there were also Hongyan Heavy Duty Trucks and Jinan Heavy Duty Trucks in China at that time, and they were basically based on fully producing military vehicles. "But later, with the economic growth rate of China, Accelerating the country's promotion of military conversion to civilian use and the simple production of military vehicles will no longer support the development needs of enterprises. Therefore, we began to develop civilian heavy trucks in the early 1980s, including the production of civilian vehicles on military vehicle technology platforms."

However, just as Shaanxi Heavy Duty started its civilian heavy truck field in 1984, in 1984, the automobile industry began to restructure according to the requirements of the central government to expand the automobile industry. Under the clarion call of the western development, Shaanxi Shouqi in the west is “fortunate”. Become a member of the reorganization plan. “At that time, it was the combination of three main engine plants: Jinan Heavy Duty Truck, Hongyan Heavy Duty Truck, and Shaanxi Heavy Duty Truck, and Shaanxi Gear Factory, Shaanxi Fast Company, and Weichai Power Company. The so-called aircraft carrier, the China Heavy-duty Truck Group Corporation, said that according to the arrangement of the superior leadership, Shaanxi Auto has joined the China Heavy-duty Truck Group and started its second venture.

Afterwards, Shaanxi Autos built a new heavy-duty gas base in the eastern suburbs of Xi'an while comprehensively reconstructing the old base. Through the introduction of advanced heavy-duty truck and bus chassis technology from Austria and Germany, Shaanxi Auto has achieved product upgrading.

However, the efficiency of collaboration among the various companies of China Heavy-duty Truck Group is very low. "For example, at that time, Shaanxi Heavy Duty Truck Group Co., Ltd. only controlled production. The sale of this block was decided by the entire group. They had the final say and were severely separated from the market and became a typical group internal planned economy.” Liu Keqiang said that under the constraints of the rigid system, Shaanxi Automobile, which originally had a promising future, gradually fell into a serious loss situation. Due to continuous losses, funding is very tight and production is almost delayed.

In 1990, Shaanxi Automobile seems to have reached a critical point in life and death. At that time, the factory had 5,000 people, and its annual production capacity was only 700 cars. The internal management of the company was poor and the debts were heavy. The cumulative loss had exceeded 100 million yuan.

However, in the following three years, as heavy-duty truck market conditions gradually improved, Shaanxi Shouqi began to recover. In a short period of three years, Shaanxi Heavy Duty Truck produced a total of 5,901 heavy trucks, which is equal to the total cumulative output for the previous 14 years; completed a total industrial output value of 1 billion yuan, sold 5,785 vehicles; realized sales revenue of 1.03 billion yuan; profit of 7.44 million yuan; industrial output value A four-fold increase, the per capita income of workers has more than doubled in three years...

However, at the same time as Shaanxi Heavy Duty Automotive was full of vitality, the hugely-structured Chinese heavy-duty truck group was like a dilapidated wagon, which fell into the abyss of huge losses. Shaanxi Automobile's hard-earned profits were soaked by the loss-making black hole of China National Heavy Duty Truck Group. In addition, the heavy-duty truck industry was weakened by the impact of economic macro-control in the mid to late 1990s. The days of Shaanxi Heavy Duty Trucks have been quite difficult.

Breakthrough rebirth

Can't lose it anymore! The central government clearly recognizes this. In 1999, the State Council sent a special investigation team to the China Heavy-duty Truck Group Corporation to conduct a survey. The results showed that the entire group had a loss of 8.7 billion. Obviously it was no longer possible to tie them together by administrative means. Otherwise, it would become less and less dynamic. .

Finally, in 2000, according to the arrangements of the State Council, China Heavy Vehicle Group was disbanded, and various enterprises were decentralized to local management. The Shaanxi Provincial Government took over Shaanxi Automobile and Shaanxi Automobile regained its independent development space. However, after the spin-off, Shaanxi Auto had back more than two billion yuan of debt. “At that time, the situation of Shaanxi Heavy Duty Truck was the most difficult. The annual output was only one-quarter of Jinan Heavy Duty Truck and one-half of Red Rock Heavy Duty Truck.” Liu Keqiang said that at that time, production was not powerful and sales had no network.” The industry is generally skeptical that we can survive."

After Shaanxi was placed under the Shaanxi provincial government, it had full autonomy. At the same time, the Shaanxi Provincial Government and the Xi'an Municipal Government were all treasured. “The auto industry is a intensive industry and it can drive too many things, such as employment, Profits and taxation, land development, etc., have great benefits for the development of the local economy." Liu Keqiang said, "Therefore, from the provincial government to the municipal government, Shaanxi Automobile is giving an optimal development environment, such as land approval, loans, and taxation. Support and so on, which has helped Shaahan get through the difficulties."

Another point I must mention is that since 2000, China’s heavy-duty truck market has begun to recover. The primary reason is that China’s economy has entered a rapid development path, and the demand for counterweight trucks has increased. In addition, the road conditions in China have also undergone major changes. There have been many expressways, and transportation has begun to shift from the previous inefficiency to high efficiency.

In the process of rapid development, Shaanxi Automobile naturally encountered funding problems. With the encouragement of the Shaanxi Provincial Government and the Xi'an Municipal Government, in 2002, Shaanxi Sinotruk Joint Venture with the Hunan Torch (000549), after the joint venture, Shaanxi Zhongqi Li, Xiang The Torch accounted for 51% of the shares, Shaanxi SASAC accounted for 49% of the shares. "Through the joint venture with the Hunan Torch, the first is to solve the capital problem. After all, the Hunan Torch is a listed company. It brings us many advanced business concepts." Liu Keqiang said.

In August 2005, Weichai Power (000338) took out 10 billion yuan to reorganize the torch of Hunan. As a result, Weichai Power became the parent company of Shaanxi Zhongqi. Weichai Power is the leading engine manufacturer of heavy-duty trucks in China. Through the cooperation with Weichai, Shaanxi Auto started a powerful attack on the market. In 2006, the growth rate of the entire heavy-duty truck market was about 20%, while the growth rate of Shaanxi Heavy Duty Truck reached 105% and sales reached 33,000 vehicles. “Over the entire 2006 period, we adjusted the production and sales targets several times.” Liu Keqiang told reporters that the target set for the beginning of the year was 20,000 vehicles. Since the situation is gratifying, the target will be raised to 25,000 vehicles in the year and raised to 3 in the second half of the year. 10,000 vehicles, in the end, the actual sales figure still exceeds 30,000.

Swallows own flag

Interestingly, when the China Heavy-Duty Truck Group Corporation was disbanded in 2000, the annual sales of Shaanxi Heavy Duty Truck was only one-half that of Hongyan Heavy Duty Truck. Now, the annual sales of Hongyan Heavy Duty Truck are only two of Shaanxi Heavy Duty Truck. One in a minute. Throughout 2007, sales of Shaanxi Heavy Duty Truck exceeded 60,000 units, and the total output value reached 18.2 billion yuan.

“This is to Xi’an in western China, which has greatly enhanced its competitiveness in the city. At the same time, the entire automobile industry chain in Xi’an is also continuously expanding with the growth of Shaanxi Auto,” said Liu Dapeng, secretary-general of Xi’an Automotive Engineering Society. "Recently, the growth of Shaanxi Auto attracted the joint venture of international mainstream automobile companies such as German MAN. The details of the joint venture between the two parties are still being discussed. If the joint venture is successful in the future, the site will be located in Xi'an."

“Some of them are more objective and difficult to develop for Western auto companies. Although there are western development backgrounds, after all, the total demand in western markets is not large. Our cars are mainly sold to eastern and northern China; It is difficult for the western region to attract outstanding talents; in addition, we still have a certain gap in supporting technologies.” Fang Hongwei, general manager of Shaanxi Zhongqi, said, “As a result, we must adhere to the road of comprehensive cooperation with foreign capital and open doors and build cars.”

However, Fang Hongwei also stressed that the purpose of opening a car is to enhance independent competitiveness and the ultimate goal is to build a car. “Laowai is unreliable. For example, we used to cooperate with German MAN company. They sold our technology and sold it to us with some high-priced spare parts. If we do not buy these parts, they will not sell us technology. Liu Keqiang told reporters, "When we first bought MAN's F2000 technology, the other party had spent hundreds of millions of pieces, and it took us several years to digest these parts."

Therefore, Shaanxi Automobile's current strategy is to absorb and introduce the technology as soon as possible, as soon as possible to digest and absorb, "other endless introduction can only drain our profits." According to Liu Keqiang, the next two years, Shaanxi Automobile To build a first-class product R&D base, a national-level technology center, and a postdoctoral mobile station; in addition, Weichai Power will establish a research institute centered on Shanghai, and Shaanxi Auto will rely on Weichai to introduce new technologies. Achieve further leadership.
View related topics: China National Heavy Duty Truck Breaks Monthly Sales Record for National Heavy Truck Industry


Spring Steel Strip

Spring Steel Strip,Precision Spring Steel Strip,Roller Shutter Spring Steel Belt,High Carbon Spring Steel Coil

Jiangyin Mitoo Precise Co.,Ltd. , https://www.mitoosteel.com